Lehman's ex-president files claim for $233m

Discussion in 'Wall St. News' started by TraderZones, Aug 27, 2009.

  1. Some people have nerve. The Lehman leadership helped sink the bank, and this one filing a claim for $233 million. Hope his next job is flipping burgers for mimimum wage...

    Lehman's ex-president files claim for $233m

    Joseph Gregory, second-in-command to former chief executive Dick Fuld, seeks compensation from collapse of Wall Street bank


    The former president of Lehman Brothers has filed a legal claim seeking $233m (£145m) in remuneration from liquidators of the bankrupt Wall Street bank, whose collapse 11 months ago wrought havoc in global financial markets.

    Joseph Gregory, who served as second-in-command to Lehman's chief executive, Dick Fuld, lodged his demand with liquidators who are sorting through the remnants of what was the fourth-biggest investment bank in the US until its abrupt demise.

    The precise amount of the former executive's claim is $232,999,548.71. Gregory maintains that he is entitled to this sum in restricted stock and options, some of which were linked to performance criteria through awards dating back to 1997.

    Employees and creditors have until 22 September to submit demands in Lehman's bankruptcy proceedings. The week before this deadline will mark the first anniversary of the bank's collapse, on 15 September 2008 – an event that sparked the most tumultuous period of the global financial crisis, prompting panic on the markets as investors lost confidence in the broader banking system.

    Gregory joined Lehman in 1974 and worked his way up. He served as president and chief operating officer until June 2008, when he was stripped of his role in a boardroom coup by executives concerned about mounting financial woes.

    Since the bank's demise, Gregory has faced financial challenges in other directions. He put his eight-bedroom seaside mansion in the Hamptons, on Long Island, New York, up for sale for $32.5m but has had to cut the asking price to $27.9m because of gloom in the property market.

  2. This guy is as entitled as any of his government funded banker buddies to a bonus.

    He helped destroy an almighty financial institution -I thought we rewarded people for that these days.

    Traderzones get up to speed...
  3. 1) In at a bottom, out at the bottom.
    2) In at the top, out at the bottom. :D